VAT on Repair after insured damage to a home in Portugal: 6%, 13% or 23%?
6% can apply to repairs after an insured loss on a home, even when the customer is not the owner, if the work is a works contract on a dwelling in use under verba 2.27. Mere assistance services are taxed at 23%.
- Rate
- 6% on qualifying repair contracts
- Legal basis
- Verba 2.27, Lista I, Código do IVA (CIVA)
- Client
- Can be an owner, tenant, condominium or another party with a legitimate interest
- Work
- Repair, renovation or conservation as a works contract
- Not covered
- Pure assistance or management services, which are taxed at 23%
- Official text (Lista I of the Código do IVA)
- info.portaldasfinancas.gov.pt/pt/informacao_fiscal/codigo...
- Sources
- info.portaldasfinancas.gov.pt/pt/informacao_fiscal/codigo...
info.portaldasfinancas.gov.pt/pt/informacao_fiscal/inform... - Checked
- 2026-11-05
What decides the rate
- The dwelling must be in use as a home and the work must not fall into an exception of the verba.
- Materials follow the 20% rule.
Important
- This page is a general summary of public sources and not tax advice.
- Rates shown are for mainland Portugal. The rate depends on the facts of each job, so ask a certified accountant (contabilista certificado) or the Tax Authority (AT) before you invoice or pay.
More: VAT guide
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